Entrepreneurship Indicators Project Partnerships Sponsors and Budget Tim

Entrepreneurship Indicators Project Partnerships, Sponsors and Budget Tim Davis, OECD Statistics Directorate EISG Meeting, Rome, December 5/6, 2006

EIP Timetable 2005 2006 2007 2008 and beyond Phase 1 Feasibility Study/ Action Plan Phase 2 Measurement Manual and Framework Governance Structure Pilot Surveys Indicators Research Conf. Phase 3 Extend Country Participants Ongoing Surveys / Outputs Research Network/Conferences Financial support: Kauffman Int’l Consortium OECD + Seeking Others Will seek Financial support from: Countries, OECD and Other Sources 2

Overview of funding to date Phase I: Scoping Study n Kauffman Foundation sponsorship of Scoping Study and Action Plan n International Consortium sponsored review of firm start-up data n OECD provided bridge financing and supported new Business Demography work 3

Funding Status Phase II: Program Development n Two-year funding by Kauffman Foundation n ‘Special Project’ funding by International Consortium n OECD contributing data and infrastructure inputs n Additional sponsors still required n Shortfall of ~€ 200, 000 over 2 years n Kauffman funding to end in late 2008 n Sponsors seeking longer-term OECD and country commitments 4

Background Consideration n n n Project needs seed financing like a small business Needs expansion funding like a HG SME Then an IPO where countries buy the shares Initial investors are rewarded, but not with a capital gain Ongoing net revenue stream is always negative No significant revenues foreseen Propose to sell the program, not the data 5

Long term goal n n n Established program in OECD work program OECD has fixed or declining budget Reallocation very difficult Sponsorship funding required for “Headquarters” staff OECD to coordinate and ensure international compilations, analysis, dissemination. Countries required to fund data collection and inputs 6

Why consider longer term funding now? n n Sponsors already convinced of long-term need Willingness to invest based on ongoing returns One-off data compilations not desirable To date, funding from major sponsors has been contingent on ongoing program 7

EIP Budget to End of Phase II December 31, 2008 Funding: September 2006 to December 2008 Kauffman Grant 340 K € ICE Grant: High Growth Study 60 K € ICE Grant: (Potential) Risk Capital Handbook/Data 40 K € Danish Grant: (Potential) High Growth Data Development 60 K € International Grants-Data Collection Total Actual and Potential 500 K € 8

EIP Budget to End of Phase II December 31, 2008 Forecast Expenditures: September 2006 to December 2008 Project Management 280 K € Survey Development/ Management 110 K € Statisticians (EIP/Business Demography) 140 K € Research and Support 90 K € Research Conference, EISG Meetings, Travel, Miscellaneous 70 K € Data Dissemination 30 K € Ongoing Data Collection Total 740 K € 9

EIP Budget to End of Phase II December 31, 2008 Current Budget Situation to December 2008 Actual and Potential Funding 500 K € Forecast Expenditures 740 K € Additional Funding Required 240 K € 10

Seeking Sponsorship Potential sponsors? n OECD member countries – Seek additional voluntary financial contributions? – Contributions of personnel? n Corporations and Foundations? n International organisations and “governments”? 11

EIP “Flyer” n n Explain program Why is outside funding required Benefits to sponsors Contribution amounts 12